UPDATE: Bank of America Upgrades Flextronics International to Buy
According to a research report this morning, Bank of America upgrades its rating on Flextronics International (NASDAQ: FLEX) from Neutral to Buy as the supply-chain company appears to be well positioned to drive high normalized margins.
Bank of America stated, “After management's presentation at our tech conference in San Francisco, we came away more convinced that FLEX is well positioned to drive higher normalized margins with the optionality of incremental benefit from vertically integrated components. Drivers of the higher margins include: 1) structural mix shift away from High Velocity (divested PC ODM business and lower RIMM revs), 2) completion of restructuring that is masking margin improvement and, 3) higher rev in 2H12 that should drive leverage in components.”
Flextronics closed yesterday at $6.59 with a PO increase from $7.50 to $8.50.
Latest Ratings for FLEX
|May 2015||Standpoint Research||Upgrades||Hold||Buy|
|Mar 2015||Standpoint Research||Downgrades||Buy||Hold|
|Mar 2015||Goldman Sachs||Upgrades||Sell||Neutral|
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